Net Present

Year

Capital Costs

Benefits

Costs

(Costs)

(1+I)

Value

N

0

($800,000)

($600,000)

1.0000

($600,000)

Given:

1

$0

($50,000)

($50,000)

0.9524

($47,619)

2

$100,000

($125,000)

($25,000)

0.9070

($22,676)

Unit Revenue

3

$150,000

($175,000)

($25,000)

0.8638

($21,596

Answer rating: 100% (QA)

Net Present Value NPV Calculation To calculate the NPV well use the following formula NPV Benefitsn ... View the full answer